Execution and Bankruptcy Crime – Failure to Request Bankruptcy of a Capital Company
Individuals authorized to manage and represent a company, or liquidators, are punished under Article 179 of the Bankruptcy Law for failing to request the bankruptcy of a capital company by stating that the company’s assets are insufficient to cover its debts.
For the crime of failing to request the bankruptcy of a capital company to occur, the individuals authorized to represent and manage the company or cooperative must have intent or fault in failing to request the bankruptcy of the company or cooperative. Naturally, the company or cooperative’s assets must be insufficient to cover its debts. If these conditions are not met, the individuals authorized to manage and represent the company cannot be punished under execution crimes.
Since the prosecution of the crime of failing to request the bankruptcy of a capital company is also subject to complaint, creditors must file a complaint within three months of learning of the crime and in any case within one year. The complainant must be a creditor of the company; therefore, the competent court must determine whether the complainant is a creditor of the company. The court responsible for hearing the case is the Enforcement Criminal Court. The competent court is the court of the place where the company’s business center is located or the court of the place where the enforcement office conducting the proceedings is located.